You are on page 1of 8

Letter of Transmittal

Date: 20th October, 2014
To
Fakhrul Islam
Lecturer
Department Business Administration
Dhaka International University (DIU)

Subject: Prayer for Submission of Internship Report.

Dear Sir,
It is a pleasure to me to present the internship report on “Financial Reporting of Prime
Bank Limited” as a part of the requirement for the completion of my Internship. I tried my
level best to accumulate relevant information. It is a great experience for me to work on this
topic.

I have tried to make the report comprehensive within the scheduled time and limited
resources. I tried to collect all the related information of Prime Bank Limited. I have also
added some summary of findings and recommendations in the report.

It would be very kind of you for examine my report work and give me further suggestions
and enhance my clarification due to future prospects.

Sincerely yours

Zakia Sultana Mitu
Roll-25,
Reg. No: 241525,
Program: BBA, Batch-33rd ©
Department of Accounting
Dhaka International University (DIU)

II

It might be with the interest of opposite party of the corporation. I further undertake to indemnify department against any loss or damage arising from breach of the forgoing obligation. ……………………… Zakia Sultana Mitu Roll-25. this report was not submitted to any other private or public universities. the report is only prepared for my academic requirement. Program: BBA. Zakia Sultana Mitu hereby declare that the report of internship program titled “Financial Reporting of Prime Bank Limited” is uniquely prepared by me after the completion of Three months of Prime Bank Limited. Batch-33rd © Department of Accounting Dhaka International University (DIU) III . I also assure that. No: 241525. Reg. Declaration I. I also confirm that.

The report has been prepared under my guidance and is a record of the bona fide work carried out successfully. I think report will help him in the future to build up his career. Department of Accounting Dhaka International University (DIU) successfully completed her “Internship Program” entitled Financial Reporting of Prime Bank Limited under my supervision as the partial fulfillment for the BBA degree. Reg. No: 241525. She has done her job according to my supervision and guidance. Roll-25. CERTIFICATE OF SUPERVISOR This is to certify that Zakia Sultana Mitu. She has tried his best to do this successfully. ………………………… Fakhrul Islam Lecturer Department Business Administration Dhaka International University (DIU) Acknowledgement IV . Program: BBA. Batch-33rd ©.

all efforts have been made to make the report reasonably comprehensive and better. I would like to express my gratitude to a large number of individuals who helped and guided me both directly and indirectly while preparing this report. Department Accounting. because of excellent behavior with me and providing necessary information related to the work. Though. This is an exclusive instance of professional life I passed and enjoyed in the time of my internship. Zakia Sultana Mitu V . Finally I want to thank all my friends who supported me to prepare the report in easy. I am truly grateful to my faculty supervisor Fakhrul Islam. Completion of anything requires supports from various sources. there still may lay some mistakes. I would like to give a great thanks to all the employees of Prime Bank Limited in Head Office (Facility Management Division). Without their co-operation and direct supervision this project could not be accomplished successfully. Md. Lecturer. A single individual can achieve no noble objective. the supreme authority of the universe. Dhaka International University (DIU). which help me to prepare this report.First of all I would like to acknowledgement “The Almighty”. I am very much fortunate to get the sincere guidance and supervision from a number of people. my supervisor may help me and forgive me for such mistakes. Reza Hossain Vice President of Prime Bank Limited (Facility Management Division) and on site supervisor Ishtiaque Hossain who has always extended their kind support towards me and has given me valuable suggestion for preparing this report. clear and systematic manner.

The Authorized Capital of the Bank is BDT 800000 million and divided into 80000000 ordinary shares of BDT 100 each as of 31 December 2010. internal records of various departments and Other sources (like Magazines. The whole banking activities are divided into four parts.053 and 2012 it was . So. the management should work hard to increase the return associated with equity. General Banking section. PBL’s Time interest ratio is not satisfactory . so the operating efficiecy of PBL is not good.13 and 2012 it was 1.94 and 2012 it was 0. it should increase their EBIT or reduces the debt capital in order to smoothly satisfy the interest obligations.055. The Paid -up Capital is BDT 4072. That means they are not succeeding to minimize their operating cost. total assets turnover should be increased by generating operating income to attract the outsider investor. Information has been collected from the major sources such as are annual report of Prime Bank Ltd. In 2008 it was 0. Time interest earned ratio is not satisfactory. Total asset turnovers not good position. Return on Equiy is not in good position. it is not good for the bank. Newspaper etc.28. Dhaka. Prime Bank Limited commenced formal commercial banking operation from the May 02.So. The PBL should more increase their investment to deposit ratio to maximize their operating income and owner’s equity. The founders of PBL are committed to make it a little more different and a bit special qualitatively. In 2008 it was . 1995. VI .21 million of 4072201 ordinary shares of face value of BDT 100 each and listed both in DSE & CSE. The return on equity ratio was not good so. There must be problems to operate an organization. is not good position. Cost income ratios is high. PBL’s total asset turnover was not good at all. 1995 in Head office at Dilkhusha. The following recommendations can be suggested to solve the above mentioned problems are as we have seen that operating efficiency of the Prime Bank Ltd. So. Bangladesh as a public limited company with the permission of the Bangladesh Bank. Net profit Margins is not in strong position.). As. The objectivities of the study are as to evaluate the financial performance of Prime Bank Limited and to make some recommendations on the basis of study findings.91. PBL debt ratio is fluctuating. it should take necessary steps to keep down this trend. Executive Summary Prime Bank has been incorporated on April 17th. From the trend analysis we have seen that PBL’s P/E ratio was fluctuating. Earnings per share is downward. Credit Section. PBL’s investment to deposit ratio was fluctuating year by year. PBL’s should try improving of this ratio. In 2008 it was 1. So. It is not unexpected to have problems in any organization. Cash section and Foreign exchange section.

3 Methodology 1 1.11 Functional Structure of Prime Bank Ltd. 14 Chapter-3 Theoretical Aspects 3.1 Background of the Study 1 1.4 Objectives 4 2.2 Objectives of the Study 1 1.2 Vision 4 2.5 Limitations of the Study 2 Chapter-2 Company Overview 2. Table of Contents Page No.10 Offshore Banking Unit 9 2.4 Scope of the Study 2 1.9 Products and Services of Prime Bank Limited 8 2.12 Subsidiaries of Prime Bank Ltd.1 Introduction 3 2. 10 2.2 Balance sheet 16 3.5 Corporate Philosophy 5 2. Letter Of Transmittal II Declaration III Certificate IV Acknowledgement V Executive Summary VI Table of Contents VII Chapter-1 Introduction 1.4 Ratio analysis 16 VII . 7 2.3 Income statement 16 3.3 Mission 4 2.8 Organogram of Prime Bank Ltd.6 Corporate Milestones 6 2.7 Achievements and Awards 6 2.1 Financial performance analysis 16 3.

VIII .

6 Net profit margin 26 4.1 Summary of findings 33 5.1.1 Current Ratio 21 4. 4.9 Earning per share 29 4.8 Return on Equity 28 4.1.1.1.2 Net Working Capital 22 4.4 Total Asset Turn-over Ratio 24 4. Conclusion & Recommendations 5.0 Ratio Analysis 21 4.11 Debt ratio 31 4.1.1.3 Recommendations 35 Bibliography 36 IX .1. Chapter-4 Financial Performance Analysis of Prime Bank Limited Page No.1.1.10 Price earning ratio 30 4.1.7 Return on asset 27 4.1.2 Conclusions 34 5. Summary of Findings.1.12 Time interest earned ratio 32 Chapter-5 Page No.5 Investment to deposit ratio 25 4.3 Cost income Ratio 23 4.1.